Ethiopia To Default on Bond Payment

A shop owner counts Ethiopian Birr in his stall at the Shola Market in Addis Ababa on December 4, 2023. Michele Spatari / AFP

Ethiopia is set to join Zambia, Sri Lanka, and Ghana on the debt chopping block following the announcement that it can’t pay a $33 million bond coupon due on Monday. The country will officially be in default once a 14-day grace period elapses.

The Finance Ministry said it will convene a meeting with bondholders on Thursday. This follows the collapse of earlier talks with bondholders over how to extend the maturity and repayments of a $1 billion bond maturing in December 2024.

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by Cobus van Staden

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